Chinese game publisher and social network operator Renren has reported first quarter revenues of US$24.9 million, down 40 per cent year-on-year. The company forecasts a year-on-year drop in second quarter earnings of 47-52 per cent as well.
Renren also posted an operating loss of US$29.2 million for the quarter, up from the previous quarter’s loss of US$20.4 million.
Despite the revenue fall and operating loss, earnings from the sale of the company’s stake in group purchasing site Nuomi permitted Renren to report a quarterly profit of US$32.3 million.
Renren has recently restructured the company’s core online gaming business and is also expanding activities in mobile apps, commerce and gaming. Four scheduled in-house game launches in the later half of 2014, as well as upcoming licensed releases are also expected to improve the company’s financial results.
